By Danielle Moran, Bloomberg
The College of California has shelved a $1.5 billion municipal-bond sale that had been slated for this week, in line with an individual conversant in the matter, a call that comes amid a combat between the system and the Trump administration over federal funding.
The deal was anticipated to cost the week of Aug. 17, in line with a submit on California’s debt-sale web site captured by an web archive. That discover is now not on the state’s investor relations webpage.
Spokespeople for the College of California and Financial institution of America Corp., the joint senior supervisor, declined to remark. A consultant for Jefferies, the book-running joint senior supervisor, didn’t reply to requests for remark.
The Bond Purchaser reported the transfer on Wednesday.
The transaction from one of the prestigious US public higher-education methods was set to incorporate two tranches of normal income bonds, one for $825 million and one other for $675 million, in line with an Aug. 12 report from Fitch Scores. The corporate assigned the bonds an AA grade, the third-highest obtainable. Proceeds had been anticipated to fund varied tasks at its 10 campuses and 6 educational well being facilities, Fitch stated.
The Trump administration has demanded greater than $1 billion from the College of California at Los Angeles in trade for releasing $584 million in federal analysis funding that the US froze amid concern about antisemitism and bias on campus.
–With help from Elizabeth Rembert, Maxwell Adler and Amanda Albright.
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Initially Revealed: August 21, 2025 at 9:39 AM PDT
